PR firm sues Pakistani group planning Posey Co. fertilizer plant

Midwest Fertilizer says lawsuit without merit

This screenshot shows the first page of the breach-of-contract suit filed by Levick Strategic Communications against Midwest Fertilizer Corp. and Pakistan-based Fatima Group.

POSEY COUNTY, Ind. - The Pakistani company planning to build a fertilizer plant in Posey County is involved in a legal dispute with a U.S. consulting firm it hired to help move the project forward.

Midwest Fertilizer Corp., whose investors include Pakistan-based Fatima Group, has plans to build a Posey County nitrogen fertilizer plant which would sell its products to American farmers. Fatima Group manufactures fertilizer in Pakistan, and the company has come under scrutiny because of news that Fatima's fertilizer was making its way into improvised explosive devices in Afghanistan.

Fatima hired Washington, D.C.-based consulting firm Levick Strategic Communications to help it promote the U.S. project, and to help publicize Fatima's efforts to develop a less-explosive fertilizer formula.

On Thursday, Levick filed a breach-of-contract suit against Fatima Group and Midwest Fertilizer Corp., alleging they owe more than $400,000 for services Levick delivered to them. The complaint was filed in U.S. District Court in the District of Columbia, where Levick is based.

For its part, Midwest Fertilizer says the lawsuit is without merit, and that Midwest may file its own suit against Levick.

According to the legal complaint, Fatima and Midwest Fertilizer hired Levick on Feb. 6, and paid Levick an initial retainer, with an administrative fee, totaling $78,600.

"Defendants entrusted Levick to handle its public affairs and communication with media, Washington policymakers, and financial decision-makers, among others," the complaint says.

The parties agreed that, once Levick's services exceeded the retainer fee, Levick would bill the defendants at an hourly rate, and it would bill separately for expenses, the complaint says.

Levick's complaint alleges that the defendants have not paid the $399,096 owed for services Levick provided between Feb. 6 and June 4; plus an additional $7,642 in interest.

Fatima Group has been working to create a fertilizer that is less explosive and thus ineffective as an explosives ingredient.

In its complaint, Levick also alleges that its creative director traveled to Pakistan to film a video that showcases Fatima's new fertilizer formula. The defendants "have used this video with the media in their ongoing effort to gain approval for the Indiana facility," yet the defendants have refused to pay for Levick's trip-related expenses, the complaint says.

In a statement emailed to the Courier & Press, Midwest Fertilizer company secretary Ausaf Qureshi offered a different view of the matter.

"This is a lawsuit without merit, and we reserve the right to take legal action against Levick," Qureshi wrote.

"We have been involved in the Indiana project for more than a year and have paid fees/expenses to the several parties involved with us. Levick has not provided the support that was expected from them and has sent us excessive and duplicate billing which is unacceptable. We look forward to continuing with the fertilizer plant project in Indiana."